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tv   The O Reilly Factor  FOX News  July 29, 2011 2:00am-3:00am PDT

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plan c is car wash. >> that is your last call. thank you for being with us tonight. go to greta and visit open thread. good night from washington. >> greta: this is a fox news alert. just announced there will not be a vote tonight on speaker john boehner's debt ceiling plan. we're told it will not happen. the house of representatives was expected to vote on the debt plan tonight around 6:00 p.m. eastern but then, the vote was delayed and just moments ago, called off. so what happens now? joining us is james rosen, james, what happens now? >> what happens is that at the minute, at this late hour of 11:00 easternern time, the rules committee has been called in to an emergency session. they're going to take a look at the rules for tomorrow, and adjust them accordingly so that a tweaked version of the
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boehner bill can be brought to the house floor for a vote tomorrow. it's call td same-day procedure, they're going to make it possible for john boehner to tweak this bill once more. it's been tweaked a little bit before and bring it to the house floor tomorrow. at 10:00 a.m. tomorrow eastern time, house republicans will meet in the capitol basement and there, speaker boehner will face a job of selling the retweaked bill to his conference. greta. >> greta: how do we get here? those who might just be tuning in, what happened? >> well, our boroughing authority is set to expire on august 2, our $14.2 trillion debt limit will be reached unless congress and the white house strike a deal, and they, the president signs a new law into affect extending that borrowing power beyond that date, or for a higher amount. we'd gotten to a plan where speaker boehner had a plan
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that could do this in two stages. he had difficulty selling his republican conference on it. and it seems around 5:00 p.m. tonight he was going to muster votes needed but it became clear he didn't have them. he needed 216 votes to secure passage. if he eeked by. it's presumed to be dead on arriveal in the senate. and democrats are waiting in the wings to see what happens over on the house side. if the boehner plan is passed they might pass it and send it on to the president. that seems unlikely. or fit gets passed they might vote it down, then proceed with a plan as crafted by senate majority leader harry reid. >> and the people who oppose it tonight, so called tea party want a balanced budget amendment. and they were not satisfied to have that sort of a separate bill. the boehner bill has capped on
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the spending so that seems to be a big divide. how do you tweak that to make the two of them happy? that might be a tall order. i can't think what would make the tea party satisfied with this bill, but balanced budget amendment? >> right. there has within talk around here unconfirmed that that is the sweetener being added to the boehner bill, a balanced budget amendment. but really this is an extraordinary evening in an extraordinary episode, greta, one that political scientists will be studying for 50 years or more. we watch both divided government at its most dysfunctional. and a president who to many observers appears to be side lined for the time being as -- congressional leaders work behind closed doors to hammer this out and deep divisions whereby a powerful speaker john boehner is having difficulty coralling votes he needed. remember he lost 59 republican
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votes. you have this large freshman class, 80 members, a lot backed by the tea party and elected here to, on a promise of cutting spending and take one exyampem. tim scott from south carolina was one of two freshman for the first time ever given a seat at the leadership table. he said he's not voting for the speaker's plan tonight. >> greta: if it's accepted it's voted by the house of representatives, it's sent across the hills to senator hairy reid at which point he'd say thanks but no thanks? >> right. almost everything but the last part about hairy reid say thanks but no thanks is uncertain as to what will happen. on the democratic side, i should point out i'm hearing rumblings of deep dissatisfaction among senate democrats with his circle of advisors they feel badly served by the white house which they feel has not shown sufficient leadership, which
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they feel has betrayed them in crafting of a grand bargain that collapsed with speaker boehner. so both dysfunction in terms of the country's ability to move forward on this debt issue. there are pro found consequences here if we don't reach an agreement on the debt ceiling. interest rates for americans across the board will be affected and probably go up and make it harder for everyone to borrow money. that will send shock waves throughout the global committee this, is a big deal. but not just republicans disagreeing with democrats. there are deep divisions within parties themselves. >> greta: james, thank you. our next guest says it's a great threat to the national security. what does he mean? who does he think is to blame? republican senator joins us. good evening, sir. debt keeling with so much concentration amongst here nlt united states. but beyond services, social security, medicare and parks and everything else. national security is in play?
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deet is the threat. we find out 41 cents of every dollar in this country is borrowed money, half from overseas, lots from china, you say how sit that you can be staying a strong and independent and leading nation if you owe that money torj people, people who, their best interests are not your best interests? and it's not just me saying it. chairman of the joint chiefs of staff said the same thing. we owe over $14 trillion. a lot is china. >> i spoke with governor hudson today and now i asked him, if he speaks chinese, whether he's reading literature or hearing from anyone in china. and it's sort of interesting. he said they're watching but not particularly, they are rooting for us in a way to do well because they have so much money invested in the united states. if we sink, then, goitsing to have an impact on them. >> and they say say, you know? we're not interested in lending to you anymore. for we're going lend you more
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we're going charge more interest to do it. where else do you go for money? we need a balanced budget amendment to the constitution. why i was such a supporter in the senate of the cut and cap and balance approach. that i support the boehner proposal, but that is just round one in the fight. we need to cut mere and get spending down. spending is out of control. we can't continue this way. >> greta: it's being said if the boehner bill passes house and senate, and president were to sign it, it seems unlikely, that we're going to get down graded anyway because it's a short term solution by rating agencies. for the life of me, i keep asking everyone is that these rating agencies have a foot on our throats. they're the ones who are having a huge responsibility in the fact our economy has hit the skids. they're the ones saying those underwater mortgages they've bundled together and created hard ache for so many americans. why do we let them, how does
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this become a victim to the rating agencies? >> they can swhai they wachblt we're our worst enemy when it comes to spending. we have a health care law that is going to raise the cost extensively. there is a so called stimulus package when i think has been a failure, i think the administration wasted money. >> greta: you raise an interesting point. i think if the stimulus package of february 2009 was a roaring success, and the economy was just sizzling and doing a great jorks i don't think we'd be having this budget. i don't think people would be worried about money. i think we'd think we can pay our bill. >> and unemployment rate would be lower. we'd have more people working, more revenue coming n the economy would be moving along. but this president made it worse. unemployment is up. energy prices are up, look across the board. point by point by point this president made it worse. >> greta: i wish he would come
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"on the record". there are so many times i hear republicans come on and say these things and this is a fact unemt employment is still 9.2%. i with like to know where is your plan? they say you're not part of this and you're not involved. i would like to hear from him other than eight or nine minute speech. >> new york times says he's on the side lines. where is his plan? there is no plan. >> greta: what is up with this? >> i have no idea. i think senate democrats have the same question. where is the president? >> greta: did he say tourks i won't say this public senator, but... >> i know there is a lot of disappointment in lack of leadership by the president. the only plan out there is the boehner plan. and you know, i really like the cut and cap and and balance and we need a balanced budget amendment.
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and what were you expecting today? >> united states of america the greatest nation is on the brink, on the brink of a default in just four days. and what is the president of the united states doing about it? >> what would you expect him to do? >> a written plan that you can look it @ and say how much is goiting to save? what are they going to raise the debt ceiling? the president said there is only one bottom line. that is to raise debt ceiling enough to get beyond 2012 elections. that is the only thing he said is his bottom line. mine is let's make sure we don't, as a nation default. let's make sure we cut the spending and make sure we deal with this incredible debt we're living with. he wants to get that all -- push this snooze alarm and say wake me up after 2012 election. >> greta: what do you think senator harry reid thinks about this? >> he's trying to say let me
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get the president beyond 2012 election so he doesn't have to focus on jobs. >> greta: he's not annoyed? >> i don't know. >> anyway. and thank you very much. >> thank you for having me. >> greta: straight head, senator mike lee is here, his plan breathes for the house of representatives. so what does the senator think we should do know? senator mike lee is here and he's next. and it isn't just americans worried about the debt ceiling. try the world. and our economy has a direct impact on the world this, story? it's just gotten bigger. israel's defense minister goes on the record coming up. [ male annocer ] things seem better with travelocity's best price guarantee.
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>> greta: promising republican senator mike lee is calling speaker boehner and senator majority leader debt plans. you may remember senator lee introduced cut, cap and balance and the g.o.p. plan after tack that passed last week but got ignored in the senate. what does senator lee think we should do now? senator mike lee joins us. you've been a supporter of it. you're in the senate. >> right. right. >> greta: where are we? tell me. >> in a moment at which the house of representatives has been unable to come up with another package z remember, they did pass a cut, cap and balance act a couple weeks ago. there are a number of
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representatives in the house i'm told are now refusing to join on to any bill that doesn't include a balanced budget amendment part of the package this, pleases me because this is what i've been saying since before i was sworn in to united states senate. we need a permanent solution before acquiring more permanent debt. and a balanced budget amendment is the only way to do that. >> greta: i spoke about that minutes ago. it's my guess would be that that is what the new language is going to be tomorrow. i don't know how, the one who's are objecting to it and speaking about it, they ran on that. a balanced budget amendment. so unless they hold their feet to the fire, they have got to go back to their constituents and say, well this, is why i didn't do it if they change their minds. so i think that it sort of is a tough political position for them. >> it is. it is. elections have consequences. that is why we have them. a lot of us ran on this
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platform. people want change. they deserve change and deserve for their government to start treating them with more respect in this reason. >> greta: with a separate balance budget bill, would that set aside, do you think? >> well, a separate balanced budget bill allowing debt limit to be raised would be deeply disappointing to many of us who made this commitment. because again, the way we convinced a lot of other people to vote with us on this is to make it a condition fr raising the debt limit. >> greta: do you a sense of how many democrats in the u.s. senate would vote for a balanced budget amendment? >> well, we start with 47 republicans, all whom have backed the same balanced budget amendment proposal, then 23 democrats who have, in the past at one point or another said they'd support a balanced budget amendment. then there is another interesting numeric coincidence. we happen to have 23 democrat who's are up for reelection next year.
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american people overwhelmingly to the tune of 75% support a balanced budget amendment and a lot of those 23 democrats who are up next year goring to feel a lot of pressure to sfrort a balanced budget amendment. especially if placed as a condition to raising the debt limit. >> greta: what do you think of the president's role in this discussion? obviously, you're going to be critical of him but everyone here has said he doesn't have a plan. >> well, he doesn't, greta. all he's said all along... what he has been doing is obstructing the efforts of a lot of republicans in the skmous senate to put forward a deal that will allow him to get the debt limit... >> greta: is that -- he has a different ideology? than republicans? >> it's different... >> greta: it's one thing to say this is what he passionately believes is best for the country. and there are two different things. saying obstructing or passion for his ideology. >> look.
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boy never accuse someone of obstructing because they've disagreed with my political ideology. but i do use that term in this instance. have you a president who has been all over the map in terms of saying what he will and won't sign. what thing he says a short term debt limit increase deal. next day, says opposite. one day he'll say we have to have a tax increase, next day, he backs off on that slightly. it's -- the point is that this process ought to, because constitution requires it to, begin in congress without representatives in the senate. at that point, anything that congress passes is presented to the president, he can make a decision to sign or veto or allow to it pass into law without a signature. >> greta: tell me what happens. the boehner bill passes and comes over to the senate. you don't get to vote on it. let's say senator re dismt d never calls it to the floor
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too athat would be a tremendous afront to the american people for the second time, refutesing -- refusing to vote on something passed by the house. >> greta: then what? where are we? >> i don't know. because democrats have killed it because they can't live with a balanced budget amendment? they own this, at this point, they have to put forward something wex still don't have a proposal. a real concrete proposal reduced to the form of the bill moving through congress at all. if we get to that point, republicans will have twice put forward a deal, twice to have had it shut down by democrats. >> greta: senator, thank you, sir. thanks for joining us. this is a story going to go on. >> indeed. >> greta: coming up, did you think only americans are flipped out about this debt ceiling crisis, you're wrong. we're rattling nations around the globe. what happens here affects the world. israel's defense minister goes on the record next and yes, he's here in the united states z also, the house vote has been called off.
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what is next for speaker john boehner? when will there be a vote on the speaker's debt ceiling plan? stay tuned.
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>> greta: and the united states is in an economic sess pool right now. we're out of money, and tuesday out of credit. money does more than just give us government services and help people, it protects us, national security does have a big price tag. what about our friends and our promises to them. if we promise money, can we put can you tell it? and is this at risk? israeli defense minister is visiting the united states and went on the record. >> nice to see you, sir, welcome to the united states.
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>> thank you for everything. >> so you've had a busy dance card so to speak seeing secretary of state hillary clinton, vice president biden and secretary of defense pinetta. >> yes. >> greta: why did you come to the united states? >> i came here to meet with palestine new jobs for the make sure that we are on the same page for the whole volcanic eruption in the middle east around us. >> greta: you came in the middle of washington seized in a discussion about our debt keel chg is sort of having across the world. and how does this affect israel? or debate over the debt ceiling? >> i believe that we cannot be of help. i think my wife to encourage the economy here by buying something.
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i feel the world is watching america. you know? it's the only super power on earth. we hope of course you come out of this crisis. and if it wasn't for the future. >> and the new head of the imf says it could rattle the world. and if we get our credit rating gets down graded from triple a, it has an affect on every country? >> i hope it won't happen. we have enough much around the country, you know in spain, italy, two weeks now. a lot to worry about in our region. the whole world is looking for the united states of america to come out of this crisis the way it came out from many crisis in the past. and the it has to. >> greta: if you were an
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israeli one of the things i'd be thinking about is that we're thinking about big cuts that are coming here. and our countries are great friends but we also, we give your country a lot of money and it's possible, you know in next go around we're going to cut you. >> so far we're thankful for congress. and for two weeks this year, allocation fully. we highly appreciate this, i believe that we will be coming up to the standard but i think totally disturbed middle east affected israel is only the anchor of stability and strength. it's important for the whole free world, not just israel. >> greta: so it's also security issue for you and comes back to us.
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and as you're insecure in the middle east it has ramifications world wide because no one has problem as lone anymore? >> yes. there are many layers including security and this is important to be stable and reliable and we feel, in the reamin. >> greta: there is more of our interview with ehudbarak including israel's growing fear of iran. we're going to show you that interview and more in the coming days. and coming up, house republicans abandon plans for a vote tonight. it seems house leaders are having trouble getting the vote. but they're expected to meet at 10:00 a.m. tomorrow morning. what can we expect? and senator john mccain is here, he says speaker boehner may have votes he needs to
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pass the debt plan in the house but there is a catch. what it it? senator john mccain goes on the record in just minutes.
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>> greta: okay we're in need of help. we're out of money. tuesday we're out of credit. now that is only a few days from now. and then, our nation's credit rating, another thing could take a nosedive z now, the house vote on speaker boehner's debt ceiling plan was called off, what is the next step? all right, david. now what? >> won't we like to know? looks like they're going to try again to tweak the bill to make it more palatable to conservative that's are holding out. the more inflexible conservatives of the bunch. >> greta: how do you tweak? if they're so hung up on the balanced budget amendment how is that a tweak? that is a huge difference.
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>> figure of speech. you know? >> it's huge. >> there are other things you can do. i don't know if they'll do this. i think if they have more cuts front loaded meaning doing a 0-year deal, you're spreading spending cuts over 10 years. more cuts you can have in 2012 in, 2013, congress still has something to say about it, easier it is. >> greta: here is the problem is that the congressman who ran on it agrees to that. because now it's being front loaded and we're getting cuts up front. now goes home with a run in 2012. i got cuts up front. we moved it up and stood tall. pressure. and you said balanced budget amendment? never mind. i could get them. i mean. >> we're get haegd of ourselves and have to find out if the boehner plan can get through the senate which i don't think it can. it's going to be tweaked because in order to get democratic votes it's not going to just be the boehner plan or nothing.
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they're going to ping pong it back to the house, then you're going to have to see what happens. these are big ifs. boy say none of the guys ran on the balanced budget amendment or did run on not playing micks. politics is another word for compromise in deal making and none of the new members has interest in compromise ordeal making. >> greta: the tweak tonight is a tougher tweak. it adheres to the side of the conservative and inflexible conservatives, right? >> sure. >> greta: goits to the senate. you say it gets ping ponged and tweaked again, it gets watered down. >> yes. correct. >> greta: that is when people goring to be unhappy. >> here is what reid and mcconnell would do. find a way to adjust the bill so you can get votes to get over 60 votes, and send it back to the house, now with democrats having voted for it, you can get democratic votes in the house. and boehner still needs to get a majority of the conference but there is more flexibility there.
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>> so he's going to lose more there because you can pick up democrats because of the changed bill? >> yes. there are a lot of republicans and i think a lot of the reason speaker boehner was able to get people to support this bill that didn't want to support sit because they understand the economy really tanks because of a default and republicans take the brunt that have, goitsing to be tougher in 2012. number two, obama will ont economy, soley. and three, they might lose their leverage. my theory is that i know people think after august 2 their leverage increases because then everybody sort of got to go and say fine, what do you want to get out of this hole. i think at that point they go look. we're going to go into a corner. everybody thinks they're winning and nobody is. >> greta: and this discussion should be political. i mean should be about the substance, i agree. but people do put -- politics does matter. who is plitly losing on this
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issue? >> nobody. >> who is win something. >> i think everybody is sort of in neutral. the president is not doing well because we have a bad economy. and republicans aren't held in very high esteem in congress. all right? democrats in congress aren't held in very high esteem. i think until ge we get past august 2 without a deal and there are serious consequences to to-to-that, we'll see where pressure is distributed. most polls say rinz will take the brunt of it. it doesn't mean the president wins. this is so complicated. what i've found that everybody has something to grab. last week there was a poll showing more people thought the president's approach was correct and that if they don't reach a compromise, republicans will get most of the blame whchl putting republican policies on paper and said what do you think? there are 66% of the people said cut, cap, balance sounds great.
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balanced budget amendment was in mid-70s. so for polls all over the place. i think what people want is just for the job situation to get worse. >> greta: i think the person running for president now part of washington sitting on an aisle, whoever that may be can see which way the dust settles. >> i think you're right. >> greta: that is the safest politacally. >> if you're outside of washington now? >> greta: run. >> yes. >> thank you. >> straight head will a balanced budget amendment happen? we'll ask senator john mccain. and what are representative michelle bachmann's plans? you'll hear from congress woman bachmann, coming up.
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. >> greta: house republicans
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scheduled to meet at 10:00 a.m. sharp in washington saying the vote expected tonight was delayed due to lack of support what. is the hold wupt plans? will it pass? we asked senator john mccain if he thinks speaker boehner had enough votes. >> i think he probably does. it's unfortunate, at least in my view that he had such difficulty that, as you know, they're strong feelings and members were elected simply on the single issue of cutting spending and getting our mortgaging of our children and grandchildren's future off of our backs so they felt strongly. and so... to answer your question, i think he probably has votes but i think he may have to change his original proposal some. i believe maybe add balanced budget amendment on it. >> and very hard on them, they ran on that. do they note knot owe it to
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their constituents to say i'm running on this and push comes to shove, they sort vf to keep their promises? can't say oh, never mind? >> they do. i think many of them are. what i have criticized is the practice in the senate of telling our constituents there is some way we're going to pass a balanced budget amendment to the constitution. in the united states senate, under its present numbers would require 67 votes there. is no way that that is going to happen. and we control, republicans control a third of the government. which obviously limits the amount we can do. but to say to our constituents and our fellow citizens we can pass a balanced budget amendment to the constitution, you can't. we can't. there are not 67 votes there to do so. so let's be honest with american people. we have to have a balanced budget amendment in the fusion
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we're really going to get spending under control. i was around when gram redman had strong requirements on spending and then, future congresses just declared emergency and made that legislation null and void. so, i am a strong supporter of the balanced budget amendment. i will take second place to no one as far as being a physical conservative. i voted for the balanced budget amendment 13 times. but very to be honest with my constituents and tell them the senate is not going to pass pas it. but we can't give up the fight. >> greta: tonight, there is all of this sort of effort to get votes. what is going on behind closed doors? how does speaker boehner get the votes? >> well, i think he appeals to his leadership this, is his leadership of the republicans in the house and speaker is clearly at stake here if he can't bring his people along. i think he is agreeing to make
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changes and hope that's would pick up additional votes. i think he's trying to explain to him what i said. that is that if they pass through the house it comes to senate. hairy reid will table it, in other words turn it down. but now, the house of representatives has acted in a meaningful and important way. they're adding spending and raising debt limit. there is no tax increases. so... we have achieved a lot of the goals pretty much of what you can do controlling one third of the government. and i think that mitch mcconnell's last option of a committee, bipartisan, remember, we have control of one third of the congress. yet this would be 50-50, republicans and democrats that. committee report out required up or down votes on what they find, i think and, also a short term increase in the debt limit so we can go back and fight this again in a few months. >> let me tell you this is what i think some americans
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are thinking. ones that are really sent these members of congress to vote for balanced budget and to fight tooth and nail for it tonight. i suspect that some think what is going on behind closed doors is someone suddenly coming out to say i'm supporting adopting something is better than nothing. it's gooding think when senator hairy re dismt wanted to get something out of senator ben nelson. suspicion is that some congressman bought off with something for a district. >> i know john boehner. he would not. >> i'm not saying there is anything wrong witness. no wheeling and dealing tonight? >> i think he's appealing to the other grounds, if it came out john boehner, and it works people like have you too many sources he was doling out goodies that would be terribly damaging. and he pointed one other benefit. that the house passes the boehner bill, it comes to the
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senate. and hairy reid and mitch mcconnell and john boehner sit down and work something out. who is missing from this equation? the president of the united states. he has been divorce frtd process. last we heard from the president was monday night. he said he had to have tax increases as part of any legislation. and harry reid agreed not to have tax increases. the president is now a bystander. leading from behind. >> okay. so quoting from behind, if something is achieved how does that matter? >> the president of the united states is elected to lead. the president of the united states, every previous president i know has been not only active in the process, but led in the process. that is the job of the president. >> greta: heading up, making phone calls is considered leadership if dispatching vice president biden up to talk to people and making phone calls and putting people in the same room. things we might not see? is that leading or not?
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>> what is leading is to say here is my plan. here is what i want us to do. >> greta: has he put a plan out? >> never. he's lectured. do you remember rich nard nixon had a plan? this is the best one since then. he has not come forward with any specific plan. and maybe i'm wrong, but i remember president saying this is what we've got to do. a, b, c, d, e. my dear beloved friend lindzy gram coming on in a minute or two may disagree. but one thing we're on agreement on is that president is not leading. the job of the president is to lead. so this issue may be decided by boehner, mcconnell, and... boehner, mcconnell and reid. >> greta: i did think there was disgraceful, i mean, the
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president got hit with a comment from the cbo we don't score speeches when i thought the cbo was saying mr. president you're not doing your work. i thought that was the worst indictment of his performance. >> that was devastating. >> greta: i thought devastating. >> cbo is nonpartisan. but the white house says hates a plan. i've not seen a plan. and ed henry hasn't seen a plan. he keeps asking for it. and every time he gets insulted. >> i just want to point out one other thing. in 1995 we shut down the government. i remember turning people away from grand canyon. people were up in arms. one, we shouldn't shut down the government and shouldn't do that to the american people. two, this country should not default on its detectives. and to somehow say that well, we can prioritize and we can pay this bill and ma that bill, reality is that if you don't have 40% of the nonpay debts
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something is going happen that is bad. markets, i'm afraid, i'm very much afraid, i hope not, may react in a very unpleasant fashion. >> greta: i'm curious. and did president clinton handle it better than president obama? >> he was more engaged. totally engaged if you remember. he was one on one. one thing about president clinton, and i say this, we disagreed on a lot of things. when he was in the room he was the smartest guy in the room on that issue z frankly it was a disaster for republicans as you might recall. >> greta: coming up... our false promises contributing to our nation's debt crisis? representative michelle bachmann says yes. but what is the presidential contender talking about? you'll hear from michelle bachmann herself. that is next.
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>> greta: desperate times call for desperate measures in washington. >> this debt crisis still isn't solved but yesterday, the white house said it's working on a plan b. unfortunately the b stands for bake sale.
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plan c is car wash. >> that is your last call. thank you for being with us tonight. go to greta and visit open thread. good night from washington. >> tgif, everyone. it's friday, i'm gretchen carlson. a u.s. soldier says he's not going to afghanistan. >> i don't want to deploy because i believe i can't both deploy and be a muslim. >> no, police say he'd rather kill americans here at home. a twisted home grown terror plot revealed. >> meanwhile, it's back to the drawing board! again. john boehner's debt deal vote called off last night. is there anything the speaker can do with democrat insisting they'll kill it as soon as it arrives in the senate no matter what. >> he ran eight miles a


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